NEW YORK (360Dx) – Accelerate Diagnostics said today that it will offer $150 million of convertible senior notes due 2023 in a private placement to qualified institutional buyers.
The firm also plans to grant the initial purchasers a 13-day option to purchase up to an additional $22.5 million aggregate principal amount of the notes
Accelerate plans to release the notes as senior unsecured obligations, and interest will be payable semi-annually in arrears. The notes will be convertible into cash, shares of the firm's common stock, or a combination thereof.
Accelerate and the initial note purchasers will negotiate interest rate pricing, initial conversion rate, repurchase rights, and other terms of the notes.
The company plans to use a portion of the proceeds for general corporate purposes and to fund its commercialization efforts, which may include working capital, capital expenditures, potential acquisitions, and strategic transactions.
In Thursday late morning trade on the Nasdaq, shares of Accelerate were down 4 percent at $23.85.